Advanced Home Care Inc.

“The executive committee of the board of directors shall be composed of directors appointed by members whose membership interest is equal to or greater than 5%. Each member whose membership is equal to or greater than 5% may appoint one of the two directors that such member appoints to serve on the board of directors to also serve on the executive committee of the board of directors. No member shall be entitled to appoint more than one director to serve on the executive committee of the board of directors. The executive committee shall have and may exercise the authority of the board in the management of the business and affairs of the corporation during intervals between meetings.”

“The company currently has twelve members including moses h cone memorial hospital, high point regional health services, inc., novant health, inc., mission hospitals, inc., vidant health, carepartners health services, caromont health services, inc., wellmont health system, morehead memorial hospital, inc., wakemed, wellstar health system, and navicent health.”

“One director shall be an employee of advanced home care, inc. The remaining directors shall be voting directors and shall be appointed by the members such that each member shall appoint two voting directors. An appointed director may be removed from office at any time with or without cause by the member that appointed that director to office. If a director is removed, a new director may be appointed by the appropriat member to fill the vacancy at the same time as the removal.”

“Decisions of the board of directors are subject to the approval of the member body.”

“The return was prepared by an independent accounting firm with information provided by management. Following management review, the return was submitted to all board members for review and was discussed as an agenda item at a board meeting.”

“As part of its annual reivew and confirmation process, advanced home care requires any employee holding a position at the director level or above (including officers and board members) to sign an annual statement confirming his or her knowledge and understanding of, and compliance with, its conflict of interest policy.”

“A compensation committee is comprised of three board members that represent the largest ownership of advanced home care. The committee is responsible for reviewing and approving the compensation program for all senior managers. The committee uses an outside consulting service, findley davies, to provide survey data to determine appropriate pay ranges. The process is completed every two years.”

“Documents required to be open to the public are available upon request.”

“The company, in a full transparency posture to reporting, is reporting all benefits in full in column f, part vii and is not applying the $10,000 per item exception for certain benefits.”

“Uncompensated care: total charity care: $ 7,634,758 bad debts times cost/charge ratio $ 4,007,446 non-reimbursed cost of treating medicare and medicaid patients $ 3,035,038 non-reimbursed cost of treating managed care patients $ 11,609,517 cash donations $ 19,756 subsidized community services $ 192,622 employee donations to community organizations through company sponsored events $ 90,715 total community benefit $ 26,589,851”

“The company has a committee that reviews the selection of the independent auditor. There have been no changes in the selection process since the prior year.”